{"id":41897,"date":"2011-01-31T00:00:00","date_gmt":"2011-01-30T18:30:00","guid":{"rendered":"https:\/\/www.legalindia.com\/judgments\/metrochem-vs-unknown-on-31-january-2011"},"modified":"2017-11-16T15:45:03","modified_gmt":"2017-11-16T10:15:03","slug":"metrochem-vs-unknown-on-31-january-2011","status":"publish","type":"post","link":"https:\/\/www.legalindia.com\/judgments\/metrochem-vs-unknown-on-31-january-2011","title":{"rendered":"Metrochem vs Unknown on 31 January, 2011"},"content":{"rendered":"<div class=\"docsource_main\">Gujarat High Court<\/div>\n<div class=\"doc_title\">Metrochem vs Unknown on 31 January, 2011<\/div>\n<div class=\"doc_author\">Author: Anant S. Dave,&amp;Nbsp;<\/div>\n<pre>   Gujarat High Court Case Information System \n\n  \n  \n    \n\n \n \n    \t      \n         \n\t    \n\t\t   Print\n\t\t\t\t          \n\n  \n\n\n\t \n\t \n\t \n\t \n\t \n\t \n\t \n\t \n\t \n\t\n\n\n \n\n\n\t \n\nCOMP\/177\/2010\t 4\/ 4\tORDER \n \n \n\n\t\n\n \n\nIN\nTHE HIGH COURT OF GUJARAT AT AHMEDABAD\n \n\n \n\n\n \n\nCOMPANY\nPETITION No. 177 of 2010\n \n\nIn\n\n\n \n\nCOMPANY\nAPPLICATION No. 270 of 2010\n \n\n======================================\n \n\nMETROCHEM\nINDUSTRIES LIMITED - Petitioner(s)\n \n\nVersus\n \n\n.\n- Respondent(s)\n \n\n======================================\n \nAppearance : \nMRS\nSWATI SOPARKAR for Petitioner(s) : 1, \nNone for Respondent(s) :\n1, \n======================================\n \n\t  \n\t \n\t  \n\t\t \n\t\t\t \n\nCORAM\n\t\t\t: \n\t\t\t\n\t\t\n\t\t \n\t\t\t \n\nHONOURABLE\n\t\t\tMR.JUSTICE ANANT S. DAVE\n\t\t\n\t\n\n \n\n \n \n\n\n \n\nDate\n: 31\/01\/2011 \n\n \n\n \n \nORAL\nORDER<\/pre>\n<p>1.<br \/>\n This is a petition filed for the sanction of the Scheme of<br \/>\narrangement in the nature of amalgamation of Metrochem Industries<br \/>\nLimited, the Petitioner Transferor Company with  Global Boards<br \/>\nLimited, the Transferee Company under section 391 read with Section<br \/>\n394 of the Companies Act, 1956. It has been submitted that the<br \/>\nTransferee Company is a listed company and having its registered<br \/>\noffice in Mumbai has taken out the necessary proceedings before the<br \/>\nBombay High Court. It has been submitted that both the companies are<br \/>\nlisted public limited companies and No Objection Certificate for the<br \/>\nproposed scheme has been obtained from the concerned stock exchange<br \/>\nbefore filing the necessary proceedings before the respective High<br \/>\nCourts. The petition as well as the scheme provide the rationale and<br \/>\nobjective for the proposal of Scheme of Arrangement.\n<\/p>\n<p>\t   Vide<br \/>\n\tthe Order dated 27th September 2010 passed in the Company<br \/>\n\tApplication No. 270 of 2010, separate meetings of the Equity<br \/>\n\tShareholders and Unsecured Creditors of the petitioner company were<br \/>\n\tdirected to be convened. It has been pointed out that the said<br \/>\n\tmeetings were duly convened on 18th November 2010. My<br \/>\n\tattention is drawn to the Chairman s report dated 29th<br \/>\n\tNovember 2010 placed on record. Perusal to the same indicates that<br \/>\n\tat the respective meetings, a minor modification was suggested in<br \/>\n\tthe scheme which pertains to the reduction of capital of the<br \/>\n\tTransferee Company and in order to rectify an inadvertent error in<br \/>\n\tthe ratio at which the shares of the Transferee Company shall be<br \/>\n\treduced. The said modification was duly accepted by the shareholders<br \/>\n\tas well as creditors and accordingly the modified scheme was<br \/>\n\tapproved unanimously i.e. 100% in number and 100% in value, by the<br \/>\n\tconcerned parties viz. Equity Shareholders and Unsecured Creditors<br \/>\n\tof the Petitioner company. The said Modified Scheme has been placed<br \/>\n\ton record as Annex.  E-1  to the present petition.\n<\/p>\n<p>3.<br \/>\n   It has been further submitted that the petition was admitted vide<br \/>\norder dated 9th December 2010. The public notice for the<br \/>\nsame were duly advertised in the newspapers Indian Express, English<br \/>\ndaily, and Sandesh, Gujarati daily both Ahmedabad editions dated 18th<br \/>\nDecember 2010 and the publication in the Government<br \/>\ngazette was dispensed with.  Affidavit dated 21st December<br \/>\n2010 confirms the same.  No one has come forward with any objections<br \/>\nto the said petition even after the publication. The same has been<br \/>\nfurther confirmed by the additional affidavit dated 28th<br \/>\nJanuary 2011.\n<\/p>\n<p>4.<br \/>\n            Notice of the petition of the Petitioner Company  was<br \/>\nserved upon the Official Liquidator attached to Gujarat High Court.<br \/>\nVide the report dated 27th January 2011,  filed by the<br \/>\nOfficial Liquidator, it is observed that the affairs of the<br \/>\nTransferor company have not been conducted in a manner prejudicial to<br \/>\nthe interest of their members or  to the public interest.\n<\/p>\n<p>5.<br \/>\n      Notice of the petition have been served upon the Central Govt.<br \/>\nand Shri P.S. Champaneri, Additional Solicitor General, appears for<br \/>\nthe Central Govt. An affidavit dated 21st January 2011 is<br \/>\nfiled by Mr. Uttam Chand Nahta, the Regional Director, North Western<br \/>\nRegion, Ministry of Corporate Affairs, where the only observation<br \/>\npertain to the  Appointed Date  as prescribed in the scheme as<br \/>\n1st April 2009. The petitioner vide the Additional<br \/>\nAffidavit dated 28th January 2011 has submitted that there<br \/>\nis no legal bar against the same and the same has been duly approved<br \/>\nby the stake holders of both the companies. It has been further<br \/>\nsubmitted during the course of the hearing that the same view has<br \/>\nbeen expressed by the Division bench of our High Court in order dated<br \/>\n23rd September 2009 in O. J. Appeal no. 65 of 2009 in the<br \/>\nmatter of Balaji Insulators Private Limited. In view of the same, the<br \/>\nobservation of the Regional Director is overruled. The other<br \/>\nobservation pertains to the unnamed and unsigned letter to the<br \/>\nRegional Director raising objection to the previously sanctioned<br \/>\nscheme of the petitioner company, the same  has been found to be<br \/>\nirrelevant by the Regional Director and it is not necessary to<br \/>\nconsider the same.\n<\/p>\n<p>6.<br \/>\n         I have heard Smt. Swati Soparkar, advocate for the<br \/>\npetitioner company and Shri P.S. Champaneri, Additional Solicitor<br \/>\nGeneral,for the Central Govt.. Considering the affidavits placed on<br \/>\nrecord, and the submissions made in this regard, I am satisfied that<br \/>\nthe observations made by the Regional Director do not survive  and<br \/>\nthe scheme of arrangement would be in the interest of the companies,<br \/>\ntheir members, creditors as well as in the public interest and the<br \/>\nsame deserves to be sanctioned. The Modified Scheme  is hereby<br \/>\nsanctioned. Prayers in terms of paragraph 25(a)  of the petition  are<br \/>\nhereby granted.\n<\/p>\n<p>7.<br \/>\n     The petition is disposed of accordingly. So far as the costs to<br \/>\nbe paid to the Central Govt. Standing Counsel is concerned, I<br \/>\nquantify the same at Rs. 7,500\/- per petition. The same may be paid<br \/>\nto the learned advocate Shri P.S. Champaneri, Additional Solicitor<br \/>\nGeneral, appearing for the Central Govt. An amount of Rs. 5,000\/-<br \/>\nshall be paid to the Office of the Official Liquidator towards costs.\n<\/p>\n<p>(ANANT<br \/>\nS. DAVE, J.)<\/p>\n<p>(swamy)<\/p>\n<p>\t\t   \u00a0\u00a0\u00a0<\/p>\n<p>\t\t   Top<\/p>\n","protected":false},"excerpt":{"rendered":"<p>Gujarat High Court Metrochem vs Unknown on 31 January, 2011 Author: Anant S. Dave,&amp;Nbsp; Gujarat High Court Case Information System Print COMP\/177\/2010 4\/ 4 ORDER IN THE HIGH COURT OF GUJARAT AT AHMEDABAD COMPANY PETITION No. 177 of 2010 In COMPANY APPLICATION No. 270 of 2010 ====================================== METROCHEM INDUSTRIES LIMITED &#8211; Petitioner(s) Versus . &#8211; [&hellip;]<\/p>\n","protected":false},"author":1,"featured_media":0,"comment_status":"open","ping_status":"open","sticky":false,"template":"","format":"standard","meta":{"_lmt_disableupdate":"","_lmt_disable":"","_jetpack_memberships_contains_paid_content":false,"footnotes":""},"categories":[16,8],"tags":[],"class_list":["post-41897","post","type-post","status-publish","format-standard","hentry","category-gujarat-high-court","category-high-court"],"yoast_head":"<!-- This site is optimized with the Yoast SEO plugin v27.3 - https:\/\/yoast.com\/product\/yoast-seo-wordpress\/ -->\n<title>Metrochem vs Unknown on 31 January, 2011 - Free Judgements of Supreme Court &amp; High Court | Legal India<\/title>\n<meta name=\"robots\" content=\"index, follow, max-snippet:-1, max-image-preview:large, max-video-preview:-1\" \/>\n<link rel=\"canonical\" href=\"https:\/\/www.legalindia.com\/judgments\/metrochem-vs-unknown-on-31-january-2011\" \/>\n<meta property=\"og:locale\" content=\"en_US\" \/>\n<meta property=\"og:type\" content=\"article\" \/>\n<meta property=\"og:title\" content=\"Metrochem vs Unknown on 31 January, 2011 - Free Judgements of Supreme Court &amp; 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